Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  London Stock Exchange  >  Spire Healthcare Group PLC    SPI   GB00BNLPYF73

SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets

Spire Healthcare : profit slumps, outlook muted; shares plunge

share with twitter share with LinkedIn share with facebook
share via e-mail
0
09/14/2017 | 11:04am CEST

Spire Healthcare Group Plc, Britain's second-largest healthcare firm, said first-half profit slumped 75 percent, hurt by legal settlement charges, sending its shares down as much as 25 percent on Thursday morning.

The company reported a 2.4 percent rise in first-half revenue, but expected revenue growth in the second half to be flat.

"Spire has seen significantly lower than anticipated revenues in July and August - this recent trend in performance appears to be continuing into early September," it said.

Spire previously forecast revenue growth in the range of 3-5 percent for the year.

Profit fell to 8.9 million pounds for the six months ended June 30, from 35.7 million pounds a year ago.

One-third of the company's revenue came in from work carried out on behalf of the National Health Service (NHS), the UK's publicly funded healthcare system.

NHS, which has been operating with an over 180 million pound deficit and a shortage of beds, has been seeking assistance from companies such as Spire, BMI Healthcare and Nuffield Health.

Spire's referrals coming in through NHS have softened meaningfully, Liberum analysts said, adding that they expected guidance downgrades to be larger beyond 2017.

The company's business linked to online NHS referrals weakened, with revenue rising 3.5 percent in the first half, compared with an 8 percent growth in the year-ago period.

"Longer term, Spire is well positioned to grow self-pay revenues as patients choose not to wait for NHS treatment," said Cora McCallum, an analyst with Investec.

Spire decided to settle claims relating to actions by Ian Paterson, a former breast surgeon currently facing jail-time for carrying out operations on patients he wrongly diagnosed, leading to a charge of 27.6 million pounds.

Spire, which currently runs 39 private hospitals across the UK, launched two more hospitals this year – one in Manchester and another in Nottingham.

The company said start-up costs and the loss of an operational month in Manchester as it was relocated to the new facility also adversely impacted its first-half results.

Shares in Spire were down 14.7 percent at 264.4 pence as of 0855 GMT.

(Reporting by Justin George Varghese in Bengaluru; Editing by Sunil Nair and Amrutha Gayathri)

By Justin George Varghese

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on SPIRE HEALTHCARE GROUP PLC
09/15 SPIRE HEALTHCARE : tumbles as legal settlement costs hit profit
09/14 £37M PAYOUT FOR VICTIMS MAIMED BY RO : Private hospital to settle with patients
09/14 SPIRE HEALTHCARE : profit slumps, outlook muted; shares plunge
09/13 SPIRE HEALTHCARE : to pay out 27 million pounds to victims of Ian Paterson
09/11SPIRE HEALTHCARE GROUP PLC : half-yearly earnings release
08/10 SPIRE HEALTHCARE : NHS paid £17m to victims of disgraced surgeon
08/10 SPIRE HEALTHCARE : NHS pays Pounds 17m on hundreds of claims by rogue surgeon pa..
07/20 EPISURF MEDICAL : has become an approved supplier to Spire Healthcare, one of th..
07/12 FTSE has best day since April on Burberry gains, dovish Yellen; Carillion col..
06/14 SPIRE HEALTHCARE : Chief departs
More news
Financials ( GBP)
Sales 2017 952 M
EBIT 2017 100 M
Net income 2017 63,6 M
Debt 2017 491 M
Yield 2017 1,55%
P/E ratio 2017 15,45
P/E ratio 2018 13,22
EV / Sales 2017 1,49x
EV / Sales 2018 1,27x
Capitalization 925 M
Chart SPIRE HEALTHCARE GROUP PLC
Duration : Period :
Spire Healthcare Group PLC Technical Analysis Chart | SPI | GB00BNLPYF73 | 4-Traders
Technical analysis trends SPIRE HEALTHCARE GROUP PLC
Short TermMid-TermLong Term
TrendsBearishBearishBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 9
Average target price 3,25  GBP
Spread / Average Target 41%
EPS Revisions
Managers
NameTitle
Simon Gordon Chief Executive Officer & Executive Director
Garry Watts Non-Executive Chairman
Catherine Mason Chief Operating Officer
Andrew Goldsmith Chief Financial Officer
Jean-Jacques de Gorter Director-Medical Director
Sector and Competitors
1st jan.Capitalization (M$)
SPIRE HEALTHCARE GROUP PLC-31.89%1 249
FRESENIUS-8.32%44 871
IHH HEALTHCARE BHD--.--%11 389
RAMSAY HEALTH CARE LIMITED-9.88%9 944
BANGKOK DUSIT MEDICAL SERVICES PCL--.--%9 699
MEDICLINIC INTERNATIONAL-12.91%6 770